Rising prominence of enhanced mobility vehicles in construction and agricultural activities for superior traction and stability is driving the utility terrain vehicles market share over the projected timeframe. Shifting preferences for replacement of heavy commercial vehicles such as trucks with UTV’s is credited to lower cost of ownership. Moreover, factors including reduced fuel consumption, maintenance and insurance cost are supporting the product demand.

Increasing number of adventure trails and parks is propelling the utility terrain vehicles market growth. Presence of multiple camping destinations are providing potential opportunities for adventure enthusiasts to engage in recreational activities thereby escalating vehicle demand. Off-road racing series and championships are continuously attracting UTV riders further providing a positive outlook for industry growth in next six years. For instance, in October 2018, Best in Dessert Series arranged Laughlin Desert Classic night race for UTV’s in Nevada promoting racing and touring activities.

Growing population coupled with proliferating tourism industry is augmenting the participation in leisure activities. For instance, in March 2016, Off-Road Expo conducted events for quad biking attracting large number of participants. Further, healthy economic conditions in conjunction with increasing camping activities will expand the utility terrain vehicles market share over study timeframe.

Vast presence of adventure clubs across the globe are promoting participation and fund-raising activities. For instance, in September 2017, Palmer Brook sportsman club organized 3rd annual Poker Run event with over 20 miles trail rides and camping activities. An upswing in off-road trips and rallies are providing a positive outlook for the market size over the forecast timeline.

Increasing fatalities arising from off-roading activities will pose a major barrier restricting the utility terrain vehicles market size. Avoidance of safety gears during UTV operation in leading to injuries and fatalities. According to Consumer Federation of America, in 2018, UTV drivers not wearing seat belts accounted for 33% fatalities. Regulatory bodies such as the U.S. Department of Agriculture (USDA) are providing training courses for forest service employees including safe operating practices and requirements.

In 2018, 400-800 cc accounted for over 35% volume share with its use for utility and recreational activities. Growing popularity of crossover UTV among consumers including farmers and ranchers is driving the market size. Additionally, increasing inclination towards hunting and camping adventures will escalate industry size over study timeframe.

Utility Terrain Vehicles Market, By Application

Sports application will witness growth at over 6% with increasing racing and trailing adventure events. Rising demand for higher efficiency and ORVs offering superior performance is propelling the segment growth. For instance, in November 2018, Honda unveiled Talon X and Talon R sports UTV with high performance and linear power delivery.

Military segment will foresee significant growth owing to high mobility coupled with increased payload carrying capacities. Increasing deployment of steering controlled ORVs for tactical and combat operations will boost the utility terrain vehicles market size over the projected timeframe. For instance, in November 2016, U.S. Marine Corps incorporated 144 MRZR-D4 UTV from Polaris Defense for strengthening mobility solutions of infantry regiments.

In 2018, North America accounted for over 65% share in utility terrain vehicles market with vast presence of adventure trails and clubs across the region. Increasing consumer spending coupled with strong economic conditions will ensure its dominance over the study timeframe. For instance, in 2017, disposable income in the U.S. rose by USD 14.7 million with an increase of over 4% as compared to 2013.

Asia Pacific market will witness strong growth owing to proliferating agriculture and construction industry. Ongoing initiatives by organizations such as Food & Agricultural Organization (FAO) to enhance farming sector and boost agricultural production is supporting the product demand. Further, rapid infrastructure development and increasing urban population will provide positive outlook for industry expansion in next six years.

The UTV market size is showcasing a lucrative growth across the globe owing to diversified applications including recreational, off-roading events, towing and agricultural activities. Regulatory bodies including U.S. Consumer Product Safety Commission (CPSC) and Society of Automotive Engineers (SAE) provide safety standards and technical requirements related to side by side ORVs. Increased spending and engagement in off-road activities will further support the industry growth over the forecast timeframe.